California Lawyer Common Rob Bonta has reminded prospects of struggling biotech agency 23andMe of their proper to direct the deletion of their genetic information.
These rights fall below California’s Genetic Info Privateness Act (GIPA) and the California Shopper Safety Act (CCPA).
The general public advisory, revealed on the State of California Division of Justice’s web site on March 21, adopted the California-based firm’s public report that it’s in monetary misery and doubt surrounding its capability to proceed as a going concern.
Two days later, 23andMe introduced that it had filed for Chapter 11 chapter safety within the US to provoke the sale of its property.
Mark Jensen, Chair and Member of the Particular Committee of the Board of Administrators, stated in a press release: “After a radical analysis of strategic options, we’ve decided {that a} court-supervised sale course of is one of the best path ahead to maximise the worth of the enterprise.”
On March 24, 2025, CEO and Co-Founder Anne Wojcicki introduced on X she has resigned as CEO and intends to be an unbiased bidder for the agency’s possession.
23andMe’s Knowledge Breach, Board Shakeup and Main Restructuring
The announcement follows a sequence of serious setbacks for 23andMe. After its preliminary public providing (IPO) in 2021, which noticed the corporate attain a valuation of as much as $6bn, the corporate struggled to achieve investor confidence, failing to show a revenue and noticed its market capital steadily decline.
To deal with the scenario, a board of unbiased administrators was shaped in March 2024. In July, Wojcicki submitted a proposal to take the corporate personal once more.
The provide was rejected and the seven administrators resigned in September, 2024.
On the similar time, in March 2024, the corporate agreed to pay a $30m settlement to the victims of a 2023 information breach whereas denying “any wrongdoing in any respect.”
The info breach resulted within the publicity of genetic information for six.9 million customers, together with 6.4 million within the US.
The agency additionally agreed to bolster its safety within the wake of the incident, together with necessary multifactor authentication (MFA), safety in opposition to credential stuffing and annual audits.
On the finish of 2024, the corporate introduced the layoff of 40% of its 200-employee workforce as a part of a restructuring effort.
Californians’ Proper Over 23AndMe Knowledge
In his advisory, Lawyer Common Bonta stated California’s GIPA and the CCPA grants Californian prospects of 23AndMe permission to:
- Delete their genetic information from 23andMe
- Revoke permission for his or her genetic information for use for analysis
- Destroy their 23andMe check pattern
Regardless of the continuing uncertainty surrounding the agency, on March 24, 23andMe stated that it “stays open for enterprise, and there aren’t any modifications to the best way we retailer, handle or shield buyer information.”
The corporate is presently valued at roughly $48.56m.
Photograph credit: JHVEPhoto/Victor Moussa/Shutterstock
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